FX.co ★ Eurozone Services Activity Returns to Growth as HCOB PMI Climbs Above 50 in July

The eurozone’s services sector moved back into expansion territory in July 2026, as the HCOB Eurozone Services Purchasing Managers’ Index (PMI) rose to 51.6. This marks a notable improvement from June 2026, when the index stood at 49.4, indicating contraction. The latest reading, updated on 24 July 2026, signals a renewed pickup in activity across the region’s services industries.

Crossing the 50-point threshold is a key milestone, as it separates contraction from growth in PMI surveys. The shift from 49.4 to 51.6 suggests that demand conditions in the eurozone’s services sector have strengthened over the month, with businesses reporting a more favorable operating environment than in June.

While the PMI level points to a moderate pace of expansion rather than a strong surge, the July data indicate that services are again contributing positively to overall eurozone economic momentum, following a brief period of softness at the end of the second quarter.